LPL, a network of brokers, received at least $1.8 million in commissions on those sales from 2006 through 2009, the state alleged.

According to the division’s complaint, most of the 597 transactions violated state laws or LPL’s own compliance practices. The division is seeking a cease-and-desist order against LPL, a censure, and full restitution to those investors who were sold the instruments in violation of Massachusetts regulations and the requirements of the REIT prospectus.

“Non-traded REITs present risks to investors,” Galvin said in a statement. “Massachusetts recognizes those risks and requires limits on an investors’ exposure to the high fees, potential illiquidity, and risky nature of non-traded REIT products.”

REITs own and manage income-producing property or are involved in real estate financing. Non-traded REITs are more difficult to get one’s money out of, and tend to carry high fees and commissions, Galvin said.